This is What Wall Street Thinks About Applied Digital Corp. (APLD)

Applied Digital Corp. (NASDAQ:APLD) is one of the best strong buy stocks to invest in right now. On December 30, Northland reiterated an Outperform rating on Applied Digital Corp. (NASDAQ:APLD) with a $40 price target, establishing the stock as a top pick for 2026. It stated that the company holds a strategic position to outperform its peers next year, supported by its ability to execute on schedule, the continued demand for power by hyperscalers, and its notable power assets’ pipeline.

The rating update came after Applied Digital Corp. (NASDAQ:APLD) announced, along with EKSO Bionics Holdings, Inc., on December 29 its entry into a non-binding term sheet for a proposed business combination of the former’s cloud computing business, Applied Digital Cloud, with EKSO. Once closed, the deal will go forward as ChronoScale Corporation, an accelerated compute platform specialized to support AI workloads. Management stated that the proposed transaction is targeted at creating a focused platform design to deliver high-performance compute at scale in a capacity-constrained market, all in a backdrop where enterprise and AI-native demand for GPU-accelerated cloud infrastructure is continually growing rapidly.

Applied Digital Corp. (NASDAQ:APLD) added that the separation of the accelerated compute platform from its data center ownership and development business would allow each business to scale independently, conduct operations with increased strategic and capital flexibility, and pursue distinct growth trajectories.

Applied Digital Corp. (NASDAQ:APLD) is a technology company that provides the development and operation of data centers offering computing power. The company’s operations are divided into the Data Center Hosting Business and HPC Hosting Business segments.

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Disclosure: None. This article is originally published at Insider Monkey.